Oil Gains as Saudi-Houthi Fighting Raises Supply Concerns
Crude rose amid Middle East supply worries, while traders also weighed prospects for increased Russian diesel exports.
Key takeaways
- Brent and WTI futures rose as traders assessed supply risks from fighting between Saudi Arabia and the Houthis.
- A strategist said expected Russian diesel exports could limit sharp price moves.
- Saudi Arabia’s energy ministry said a Houthi attack caused a limited fire at an Aramco administrative building.
Oil futures rose Wednesday as traders weighed supply risks from fighting between Saudi Arabia and the Houthis against the prospect of more Russian diesel exports. At 02:00 UTC, Brent traded at $106.94, up 1.18% since the previous close; WTI was at $95.23, up 1.16% since its previous close.
Saudi Arabia’s energy ministry said the Houthis attacked an administrative building belonging to Saudi Aramco in Dhahran, causing a limited fire. The group has also fired missiles and drones at Saudi Arabia over the past week, according to Reuters.
Hiroyuki Kikukawa, chief strategist at Nissan Securities Investment, said the conflict was driving prices higher. He added that expectations for increased Russian diesel exports could ease market tightness and limit sharp moves.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
